 "Market today: Fed rate cut; Swiggy, ACME IPO last day; Sagility allotment")
Share market today: On a largely expected line, the US Federal Reserve cut interest rates by 25 basis points (bps). In his speech, Fed Chair Jerome Powell expressed confidence in the US economy and signalled further interest rate cuts believing the inflation is moving toward its 2 per cent target.
Upbeat on the Fed's decision, Wall Street scaled record highs for the second session after cheering Donald Trump's victory on Thursday. At close, the S&P 500 was up 0.74 per cent, the Nasdaq Composite was up 1.51 per cent and Dow Jones ended flat.
Asian markets are also trading in positive territory. At the last count, China's mainline CSI 300 was up 1.12 per cent, and Japan's Nikkei was up 0.49 per cent.
Domestic cues
Indian shares are expected to open flat. Around 7:00 AM, GIFT Nifty futures were down 14 points at 24,286.5.
In the previous session, the BSE Sensex was down by 836.34 points, or 1.04 per cent, at 79,541.79, while the Nifty 50 was at 24,199.35, declining by 284.67 points, or 1.16 per cent.
Today, investors will focus on the September quarter results to be released by Tata Motors, SBI, Aarti Industries, Ashok Leyland, Metropolis Healthcare, MRF, Tata Motors, and others.
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They will also digest the Q2 outcome of Cochin Shipyard, Aditya Birla Fashion, NHPC, Cummins, M&M, and other companies released on Thursday.
In the primary market, it will be the last day to subscribe to the initial public offering (IPO) of Swiggy and ACME Solar Holdings.
Business Standard BFSI Summit
The BS BFSI Insight Summit enters its third and last day today, Friday, November 8. The event will see notable thought leaders, including Dr V Anantha Nageswaran, Chief Economic Advisor to the Government of India; Debashish Panda, Chairperson, IRDAI; Devina Mehra, Founder, Chairperson, and MD of First Global; and KV Kamath, Independent Director and Non-executive Chairman of Jio Financial Services, among others, discuss a host of topics at the event today. Tune in to catch all the LIVE updates here.
Check out the rundown of what the panelists discussed on the second day of the event.
Global cues
Along with the US Fed's policy analysis, investors will also eye September quarter results in the US.
In other developments around US elections, President-elect Donald Trump announced Susie Wiles, one of his two campaign managers, to be his White House chief of staff.
On the economic front, initial claims for US unemployment benefits increased by 3,000 to a seasonally adjusted 221,000 for the week ended November 2, as per reports.
Meanwhile, the Bank of England also cut interest rates for only the second time since 2020 and said future reductions were likely to be gradual. The Monetary Policy Committee voted 8-1 to cut rates to 4.75 per cent from 5 per cent.
In the Asia-Pacific region, investors will be watching the final day of China’s National People Congress, which is expected to see announcements of fiscal stimulus.
Additionally, China's exports grew 12.7 per cent year-on-year (Y-o-Y) in October as compared to a 2.4 per cent rise in September. However, imports fell 2.3 per cent, as compared with expectations for a drop of 1.5 per cent.
In Japan, household spending declined at a slower pace than expected in September. As per reports, real household spending fell 1.1 per cent, lower than the 2.1 per cent decline expected by economists polls by Reuters.
On the data front, China's inflation data and Producer Price Index (PPI) data for October will be on the radar.
Here's how analysts view today's (November 8) trading session
Jatin Gedia, research analyst, Sharekhan
On the daily charts, we can observe that the index has faced selling pressure from the upper end of the falling channel. The daily momentum indicator has a positive crossover which is a buy signal and the Nifty is trading around the key hourly moving averages i.e. around support which makes it a buy setup. We shall hold on to our bullish outlook for the Nifty for targets of 25,350 from a short term perspective. On the downside 24,000 shall act as a crucial support level.
Nifty Bank faced rejection around the 52,500 mark and has witnessed some profit booking. However, it has held on to its crucial support zone of 51,750 – 51,650 and we expect the undertone to remain sideways to bullish from a short term perspective. On the upside, resistance is placed at the gap zone in the range of 52,650 – 52,850.
Rupak De, senior technical analyst, LKP Securities
The Nifty slipped sharply as the index failed to move beyond the 21 EMA, leading to significant profit booking in the market. On the daily chart, a bearish engulfing pattern has formed, indicating weak market sentiment. This sentiment may worsen if the Nifty decisively sustains below 24,200. On the higher end, the 24,500-24,550 range may act as resistance.
Jigar S Patel, senior manager - technical research analyst, Anand Rathi Shares and Stock Brokers
Technically, the index faced rejection from its recent swing high on the hourly chart, accompanied by a hidden bearish divergence. Moving forward, support is anticipated near 24,000, with resistance around 24,500.
FII, DII update: How much did FIIs, and DIIs buy or sell on November 7?
As per NSE data, Foreign Institutional Investors (FII) were net sellers of Indian equities worth Rs 4,888.77 crore.
Conversely, the DII's were net buyers of equities worth Rs 1,786.7 crore.